PSV Holdings (JSE:PSV) Operating Income: R-7.4 Mil (TTM As of Aug. 2019)

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What is PSV Holdings Operating Income?

PSV Holdings JSE:PSV Operating Income is R-7.4 Mil as of Aug. 2019.

PSV Holdings's Operating Income for the six months ended in Aug. 2019 was R-4.6 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Aug. 2019 was R-7.4 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. PSV Holdings's Operating Income for the six months ended in Aug. 2019 was R-4.6 Mil. PSV Holdings's Revenue for the six months ended in Aug. 2019 was R84.4 Mil. Therefore, PSV Holdings's Operating Margin % for the quarter that ended in Aug. 2019 was -5.41%.

PSV Holdings's 5-Year average Growth Rate for Operating Margin % was 0.00% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. PSV Holdings's annualized ROC % for the quarter that ended in Aug. 2019 was -7.54%. PSV Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Aug. 2019 was -40.50%.


PSV Holdings  (JSE:PSV) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

PSV Holdings's annualized ROC % for the quarter that ended in Aug. 2019 is calculated as:

ROC % (Q: Aug. 2019 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Feb. 2019 ) + Invested Capital (Q: Aug. 2019 ))/ count )
=-9.136 * ( 1 - 29.71% )/( (85.023 + 85.236)/ 2 )
=-6.4216944/85.1295
=-7.54 %

where

Note: The Operating Income data used here is two times the semi-annual (Aug. 2019) data.

2. Joel Greenblatt's definition of Return on Capital:

PSV Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Aug. 2019 is calculated as:

ROC (Joel Greenblatt) %(Q: Aug. 2019 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Feb. 2019  Q: Aug. 2019
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-9.136/( ( (5.436 + max(-1.665, 0)) + (31.977 + max(7.702, 0)) )/ 2 )
=-9.136/( ( 5.436 + 39.679 )/ 2 )
=-9.136/22.5575
=-40.50 %

where Working Capital is:

Working Capital(Q: Feb. 2019 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(35.857 + 6.497 + 1.964) - (32.367 + 0 + 13.616)
=-1.665

Working Capital(Q: Aug. 2019 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(23.181 + 13.977 + 4.01) - (30.977 + 0 + 2.489)
=7.702

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Aug. 2019) EBIT data.

3. Operating Income is also linked to Operating Margin %:

PSV Holdings's Operating Margin % for the quarter that ended in Aug. 2019 is calculated as:

Operating Margin %=Operating Income (Q: Aug. 2019 )/Revenue (Q: Aug. 2019 )
=-4.568/84.379
=-5.41 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.


Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


PSV Holdings Operating Income Related Terms


PSV Holdings Operating Income Historical Data

* Premium members only.

The historical data trend for PSV Holdings's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

PSV Holdings Operating Income Chart

PSV Holdings Annual Data
Trend Feb10 Feb11 Feb12 Feb13 Feb14 Feb15 Feb16 Feb17 Feb18 Feb19
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -22.33 -25.31 4.41 0.66 -3.29

PSV Holdings Semi-Annual Data
Feb10 Aug10 Feb11 Aug11 Feb12 Aug12 Feb13 Aug13 Feb14 Aug14 Feb15 Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -1.37 2.03 -0.45 -2.84 -4.57

PSV Holdings Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Aug. 2019 adds up the semi-annually data reported by the company within the most recent 12 months, which was R-7.4 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of R-7.4 Mil mean?
PSV Holdings (JSE:PSV) has a Operating Income of R-7.4 Mil as of Aug. 2019. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on PSV Holdings and its competitors.
Is PSV Holdings' Operating Income too high?
PSV Holdings' current Operating Income is R-7.4 Mil.
How does PSV Holdings' Operating Income compare to HON and MMM?
PSV Holdings' Operating Income of R-7.4 Mil can be compared against companies in the Industrial Products industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Income for an Industrial Products company?
A good Operating Income depends on the Industrial Products industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Income mean?
A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on PSV Holdings and its competitors. PSV Holdings's current Operating Income is R-7.4 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PSV Holdings stock overvalued right now?
PSV Holdings (JSE:PSV) has a current Operating Income of R-7.4 Mil. The current Operating Income is R-7.4 Mil. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Income calculated?
Operating Income is calculated from a company's financial statements. For PSV Holdings (JSE:PSV), the current Operating Income is R-7.4 Mil as of Aug. 2019. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

PSV Holdings Business Description

Address Corner of Serenade & North Reef Roads, Henville Ext. Elandsfontein Rail, Germiston, ZAF, 1429
PSV Holdings Ltd is an industrial engineering holding company. It is engaged in providing steel, stainless steel, industrial supplies, specialized control valves, engineering linings, cryogenic equipment and storage tankers and also provides technology to the mining, water, wastewater management, health care, infrastructure and manufacturing sectors in South Africa and Africa. The company operates in two segments namely Industrial Supplies that includes steel, piping, industrial tools and consumable supplies and others; and Specialized Services that includes comprehensive cryogenic and gas systems. It derives key revenue from the Industrial supplies segment. Geographically, the group has operations in South Africa and other countries.